This is from Whitehouse.gov - so you know it's fair and balanced ;)
"3. MYTH: The U.S. is playing “whack-a-mole” in Iraq.
- FACT: U.S. and Iraqi forces are conducting offensive operations against terrorists while simultaneously providing security in neighborhoods with joint security stations and patrols.
- FACT: General Petraeus’s counterinsurgency strategy is a population-centric one that is different from what has been done before. The concept is for U.S. troops to work with Iraqi forces and secure safe havens, then maintain that security by staying in neighborhoods and building trust with the locals.
- FACT: The primary reason for the “surge” in troops was to give U.S. and Iraqi forces the ability and flexibility to conduct such offensive operations in and outside of Baghdad without having to shift troops out of so many areas where they were needed for security. This is why commanders held off on many of them until the brigades were in place – to avoid the problems of past offensives."
How is this related to economics? Because if we continue as we are in Iraq, there won't be much of an economy left to speak of.